Asked by Kaitlyn Ramsey on May 11, 2024
Verified
Cliff has a business bank loan in which he makes quarterly payments of $2821.40. The loan is for five years, at 4.75% compounded semi-annually. What was the amount of the loan? What amount of interest will Cliff pay on his loan?
Business Bank Loan
A specific type of loan intended for business expenditures, provided by a bank to a company, with agreed repayment terms and interest rates.
Compounded Semi-annually
A method where interest earnings are calculated and added to an account's balance every six months, contributing to the compounded growth of an investment.
- Calculate the purchase price of an item based on down payment, monthly payments, and interest rate.
- Determine total interest paid on loans and investments over time.
Verified Answer
JK
Learning Objectives
- Calculate the purchase price of an item based on down payment, monthly payments, and interest rate.
- Determine total interest paid on loans and investments over time.